Drone attacks targeting oil installations in Iraq's Kurdistan region have sparked fears of worsening disputes between the Kurdish regional and the Iraqi national governments over oil revenue management. According to a recent report by Human Rights Watch, these strikes could severely impact public services crucial to human rights, including healthcare and education.

From July 2-16, the Kurdistan region experienced a series of drone strikes that significantly cut down its oil production. The regional government heavily relies on oil revenues to fund public services. With the national government intermittently withholding funds amid ongoing disputes, the recent reduction in oil output could lead to a substantial decline in essential public services.

The identity of the perpetrators remains unconfirmed, but the Kurdish authorities have pointed fingers at the Popular Mobilization Forces (PMF), a militia allegedly backed by Iran. In addition, they accuse the Iraqi national government of permitting militia activities within their region, a claim that the national government vehemently denies.

The heart of the issue lies in a long-standing contention over the authority to export oil. A ruling by the International Court of Arbitration in 2014 deemed Kurdistan’s unilateral oil exports outside the Iraqi national oil company's framework illegal. Nevertheless, disagreements on revenue sharing continue as both governments engage in negotiations.

Complicating matters further, many of the targeted oil fields are American-owned, leading to speculation in local media about possible American retaliatory strikes against the militias, especially given the PMF’s connections to Iran.

This escalation not only raises concerns about the potential for increased regional instability but also underlines the fragile nature of Iraq's political landscape, where oil is a critical economic lifeline but also a source of tension and conflict. As the situation develops, the international community remains watchful, hoping for a resolution that stabilizes the region and safeguards the rights and services of its people.